Lamb Weston expanding with $2.2M building

Lamb Weston is adding a potato storage building in Paterson to support its expanded operations across the Columbia River in Oregon.

The new building is under construction at 158695 Highway 221 in Paterson. It is valued at $2.2 million and will have the capacity to hold 15,000 tons of potatoes.

At the end of 2017, Lamb Weston announced plans for a $250 million french fry processing line in Hermiston.

The company expected to make capital investments of $25 million and $225 million in fiscal years 2018 and 2019, with project completion targeted for the fourth quarter of fiscal year 2019. The Paterson project is part of the total $250 million total investment.

When finished, the Hermiston processing facility will be able to process 300 million pounds of potatoes a year on a french fry line that’s described as “state-of-the-art.” It was modeled after the $200 million production line expansion that opened in Richland in late 2017 that processes 600 million pounds of potatoes annually on three lines.

A news release from Lamb Weston said the Hermiston “line is intended to support growth in North America, as well as exports to Asia where demand growth has been, and is expected to remain, strong.”

The latest financials released from Lamb Weston include a seven percent increase in net sales for the third quarter of 2019 to $927 million.

When finished, the expansion underway in northeast Oregon is expected to add about 170 full-time jobs in Hermiston. There are no new jobs associated with the storage facility being built in Paterson. The general contractor on the Paterson project is Teton West of Pasco.

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